A former Planned Parenthood abortion clinic manager has filed a lawsuit against the nation’s biggest abortion business accusing it of engaging in massive fraudulent activities. The lawsuit follows a new investigation of Planned Parenthood in Illinois and Planned Parenthood abortion companies in other states having been found to have engaged in overbilling and Medicaid fraud.

Planned Parenthood clinic director Sue Thayer filed the lawsuit against the abortion giant’s Iowa affiliate accusing it of submitting “repeated false, fraudulent, and/or ineligible claims for reimbursements” to Medicaid and failing to meet acceptable standards of medical practice. Alliance Defending Freedom (formerly the Alliance Defense Fund) filed the suit for Thayer in March 2011, but it only became public yesterday.

“Americans deserve to know if their hard-earned tax money is being funneled to groups that are misusing it,” said Senior Counsel Michael Norton, a former United States Attorney who is handling the lawsuit for ADF. “People may hold different views about abortion, but everyone can agree that Planned Parenthood should play by the same rules as everyone else. It certainly isn’t entitled to any public funds, especially if it is defrauding Medicaid and the American taxpayer.”

Alliance Defending Freedom attorneys filed the suit under a federal law that allows “whistleblowers” with inside information to expose fraudulent billing by government contractors. By law, such cases may not be made public until a court unseals them. In March, a federal court unsealed a similar Alliance Defending Freedom lawsuit against a Texas Planned Parenthood affiliate.

“During my last years working at Planned Parenthood, it became increasingly clear to me that not all of their policies and protocols were completely legal and ethical. After much thought, I contacted the Alliance Defending Freedom,” Thayer said about the lawsuit. “I believe that it is an important piece in the nationwide effort to shed light on the darkness and deception surrounding America’s largest abortion provider – Planned Parenthood.”